HRM Intro Mms 18 HRM

HUMAN RESOURCE
MANAGEMENT
HRM is concerned with the PEOLE
Dimension in Management.
Since every organisation is made up of

people, acquiring their services,
developing their skills, motivating them to
higher levels of performance and ensuring
that they continue to maintain their
commitment to the organisation are
essential in achieving organisational
objectives.
Importance of Human Factor
 Output : the input
 We can’t purchase the loyalty, dedication, devotion

towards the organization.
 Each individual is different from culture, education,

environment, background etc.
 Can bring experience to face the challenges
 Recent developments like legislation, trade unions

enhanced their importance
Syllabus
 Introduction to Human Resource Motivating Employees
Management
 Management of Organizational
 Manpower Planning Change
 Job Analysis
 HRD strategies for long term
 Recruitment planning & growth, productivity
 Selection
and HRM
 Performance Appraisal Systems

 Training & Development
Books
 K. Aswathappa, Human Resource

Management Journals and Periodicals
 Subba Rao, Human Resource  Human Capital, HR Information
Management Services, New Delhi
 A. M. Sarma, Human Resource/

Personnel Management  Human Resource Development
Review, Sage Publication
 C. B. Mamoria & S. V. Gankar , 
Personnel Management
 HRM Review, icfai Publication
 V. S. P. Rao, Human Resource 
Management - Text & Cases  Newspaper: Ascent, Times of India
 Edwin Flippo, Personnel
Management
 Michael Vaz, HRM

HRM – Its Scope
In an Organization –
 Individuals manifest
 Technical Skills, Knowledge
 Personal feelings, perception, desires, motives,
attitude, values
Hiring, Remuneration, Motivation, Maintenance, IR

HRM – Its Objective
The objective of Human
Resources is
Personal
 to maximize the return objective
on investment from the
Functional
organization's human objectives
capital and minimize
financial risk. Organizational
objectives
Societal
objectives
Introduction to Human Resource
Management
HRM is the planning, organising, directing and
controlling of the procurement, development,
compensation, integration, maintenance and
separation of human resources to the end that
individual, organisational and social objectives are
accomplished.
 HRM: the process of managing people in
organizations in a structured and thorough
manner.
 This covers the fields of staffing (hiring people),

retention of people, pay and perks setting and
management, performance management, change
management and taking care of exits from the
company, to round off the activities.
Moving away from traditional personnel,
administration, and transactional roles
Enables to contribute effectively and

productively
HRM is now expected to add value to the

strategic utilization of employees
HUMAN RESOURCE MANAGEMENT
- Definition
Human Resource Management (HRM) is the
function within an organization that focuses
on
 recruitment of,
 management of, and
 providing direction for
the people who work in the organization.

Inter-Disciplinary approach to HR
 Personnel management is a major

pervasive sub-system of all Material
Sub-
organizations.
System
 Greater the effectiveness &

productivity of personnel, more will HR
Financial Sub- Marketing
be the effective functioning of the
Sub- System Sub-
organization. System System
Technology
Sub-
System
Personal objective
 To assist employees in
achieving their personal goals,
at least insofar as these goals
enhance the individual's
contribution to the
organization.
Definition of personal
Functional objective
 To maintain the department's
contribution at a level appropriate to the
organization's needs.
 Resources are wasted when HRM is more

or less sophisticated than the organization
demands.
 A department's level of service must be

appropriate for the organization it serves.
Organizational objective
 To recognize that HRM exists to
contribute to organizational
effectiveness.
 HRM is not an end in itself; it is only a

means to assist the organization with its
primary objectives.
 Simply stated, the department exists to

serve the rest of the organization.
Societal objective
 To be socially responsible to the needs and
challenges of society while
 minimizing the negative impact of
such demands upon the organization.
 The failure of organizations to use their

resources for society's benefit may result in
restrictions.
 For example, societies may pass laws that

limit human resource decisions.
HRM Functions
 Correlation between the objectives and the
functions
 In order to realize the objectives stated,

HRM must perform certain functions
 For example, the personal objective is

sought to be realized through such
functions as remuneration, assessment and
the like.
HRM Supporting Functions
Objectives
1. Societal 1. Legal Compliance
2. Benefits
3. Union-management relations
2. Organizational 1. Human Resource Planning
2. Employee Relations
3. Selection
4. Training & Development
5. Appraisal
6. Placement
3. Functional 1. Appraisal
2. Placement
3. Assessment
4. Personal 1. Training & Development
2. Appraisal
3. Placement
4. Assessment
Distinguishing factors - HRM and Personnel
Management
Personnel
Key Aspect HRM
management
Beliefs and assumptions
Aim to go beyond
Careful
written contract
Contract delineation of
– go by the spirit
written contract
of the contract
Thrust on “can do” attitude
Rules devising clear – impatience
rules with rules
Business and
customer needs,
Guide to management action Procedures
flexibility,
commitment
In line with In line with
Behaviour customs and values and
norms mission
Managers’ task Monitoring Nurturing
Strategic aspects
Key relations Labour management Customers
Initiatives Piecemeal Integrated

Controlled access to Learning
Training & development
courses organizations
Speed of decisions Slow Fast
Transformational
Management role Transactional
leadership
Key managers P&IR experts Line managers
Skills Negotiation Facilitation
Cultural and
Attention Personnel procedures structural issues and
personnel strategies
Integrated and key

Selection Marginal importance
task
Pay Job evaluation Performance based
Restricted flow / Increased flow /
Communication
indirect direct
Job design Division of labour Team work
Managing culture and
Conflict handling Temporary basis
climate
Industrial Relations: Employees Grievances and their settlements,
Unionisation and the like
Evolution of HRM in India
source :- C.S.V.Ratnam & B.K. Srivastava, PM & HRM,p.5
Period Developm Status

ent Status
1920s - Beginning Clerical
1930s
1940s - Struggling Administrative

1960s for
reorganizat
ion
1970s- Achieving Managerial
1980s sophisticati
on
1990s Promising Executive

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HUMAN RESOURCE

Since every organisation is made up of

 We can’t purchase the loyalty, dedication, devotion

 Each individual is different from culture, education,

 Can bring experience to face the challenges

 Recent developments like legislation, trade unions

 Performance Appraisal Systems

 K. Aswathappa, Human Resource

 Michael Vaz, HRM

Hiring, Remuneration, Motivation, Maintenance, IR

 This covers the fields of staffing (hiring people),

Enables to contribute effectively and

HRM is now expected to add value to the

the people who work in the organization.

 Personnel management is a major

 Greater the effectiveness &

 Resources are wasted when HRM is more

 A department's level of service must be

 HRM is not an end in itself; it is only a

 Simply stated, the department exists to

 The failure of organizations to use their

 For example, societies may pass laws that

 In order to realize the objectives stated,

 For example, the personal objective is

Initiatives Piecemeal Integrated

Integrated and key

Period Developm Status

1940s - Struggling Administrative

1990s Promising Executive

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